My original contract is ending in April 2025 but in qiwa it shows January 2026, I had already submitted resignation to end the contract on original date and it is approved by the company. So, under which section I can terminate my contract in qiwa. Terminating contract on qiwa will affect my End service benefits? I am employed with my current company for 6 years and my salary is 2000 SAR.
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Based on Articles 74, 77, 87, and 90 of the Saudi Labor Law:
Article 74: The work contract shall be written and a copy shall be delivered to the worker. Should the contract be written, it shall be made in Arabic and in two copies, one copy should be given to the worker and the other to the employer.
Article 77: A work contract with a specified term expires at the end of its term. If both parties continue to enforce it, it shall be considered renewed for an indefinite term.
Article 87: Upon the termination of the work relation, the employer shall pay the worker an end-of-service award of a half-month wage for each of the first five years of the worker’s service and one month wage for each additional year. The worker shall be entitled to an end-of-service award for the portions of the year, in proportion to the time spent on service.
Article 90: Should the worker resign, he shall be entitled to one-third of the award after a service of not less than two consecutive years and not more than five years, to two-thirds if his service is in excess of five successive years but less than ten years and to the full award if his service amounts to ten or more years.
As per your information, you have been in service for 6 years which entitles you to half of your end-of-service benefits (since it's more than 2 years but less than 10 years). Your end-of-service benefits would be calculated based on your monthly salary (2000 SAR).
You may terminate your contract via Qiwa, although as per Article 74, it's better for the termination to be in written form agreed by both parties. The contract termination through Qiwa shouldn't affect your end-of-service benefits as per Saudi Labor Law.
However, to be absolutely sure, you might want to consult with your HR or a legal advisor to understand any specific conditions that may apply to your situation or any clauses specified in your contract.
Article 74: The work contract shall be written and a copy shall be delivered to the worker. Should the contract be written, it shall be made in Arabic and in two copies, one copy should be given to the worker and the other to the employer.
Article 77: A work contract with a specified term expires at the end of its term. If both parties continue to enforce it, it shall be considered renewed for an indefinite term.
Article 87: Upon the termination of the work relation, the employer shall pay the worker an end-of-service award of a half-month wage for each of the first five years of the worker’s service and one month wage for each additional year. The worker shall be entitled to an end-of-service award for the portions of the year, in proportion to the time spent on service.
Article 90: Should the worker resign, he shall be entitled to one-third of the award after a service of not less than two consecutive years and not more than five years, to two-thirds if his service is in excess of five successive years but less than ten years and to the full award if his service amounts to ten or more years.
As per your information, you have been in service for 6 years which entitles you to half of your end-of-service benefits (since it's more than 2 years but less than 10 years). Your end-of-service benefits would be calculated based on your monthly salary (2000 SAR).
You may terminate your contract via Qiwa, although as per Article 74, it's better for the termination to be in written form agreed by both parties. The contract termination through Qiwa shouldn't affect your end-of-service benefits as per Saudi Labor Law.
However, to be absolutely sure, you might want to consult with your HR or a legal advisor to understand any specific conditions that may apply to your situation or any clauses specified in your contract.
a month ago
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